Markets remain under intense pressure following President Trump’s sweeping tariff announcement, which triggered the worst US stock market selloff since 2022. The S&P 500 plunged over 4%, its biggest one-day drop since March 2020. The banking, tech, and retail sectors led the declines, with major firms facing billions in potential tariff-related costs. Panic selling also extended globally; European index futures are down and VIX futures are up ahead of two key events today: the US March Non-Farm Payrolls report (15:30 CET) and Fed Chair Powell’s speech (18:25 CET).
US jobless claims fell by 6,000 in the latest data from yesterday, signaling continued labor market strength heading into today’s NFP report. Still, markets are increasingly worried about recession, with 10-year Treasury yields dropping below 4% and traders now expecting the Federal Reserve to cut rates four times this year, as concerns about economic growth begin to outweigh inflation worries.
US President Trump dismissed the market reaction as “anticipated”, and suggested he may be open to a deal with China involving a TikTok sale in exchange for tariff relief, hinting at further geopolitical bargaining ahead.
The global crypto market is still $2.67tn. The total crypto market 24h volume decreased 32% to $88.6bn.
In the past 24 hours, crypto liquidations decreased by 50%, and totaled $243.15, with 67% of them long positions.
According to data from Farside Investors, US Bitcoin spot ETFs recorded daily net outflows on Apr 3, despite Blackrock's IBIT recording net inflows of $65.3, all others recorded net outflows with Grayscale's GBTC recording $-60.2m, Bitwise BITB $-44.2m, Fidelity's FBTC $-23.3m, Ark's ARKB $-20m, VanEck's HODL $-12.2m and WTree's BTCW $-5.2m, bringing total outflows to $99.8m. ETH ETFs also recorded daily net outflows of $3.6m, all from the Bitwise ETHW ETF.
On Thursday Apr 3, the US Senate Banking Committee voted 13-11 along party lines to advance President Donald Trump’s nominees, approving Paul Atkins as chair of the Securities and Exchange Commission and Jonathan Gould as Comptroller of the Currency.
According to Lookonchain and Arkham Intelligence data, an ETH whale that had bought 5,001 ETH for $277 in 2017 and only started moving his holdings to the exchange Kraken a month ago moved all the remaining 2,001 ETH on Apr 2 to the crypto exchange, possibly with intention to sell.
The European Union is reportedly considering a $1 billion fine against Elon Musk’s X for violating the Digital Services Act, citing failures to police illegal content and ensure transparency. The investigation into X began in 2023, with a preliminary 2024 ruling finding the platform violated the Digital Services Act by failing to provide researcher data, ad transparency, and user verification. X disputed the findings with Elon Musk claiming that regulators offered to waive fines if the platform secretly suppressed content—an allegation denied by the EU.
The US SEC’s Crypto Task Force held meetings this week with BlackRock and the Crypto Council for Innovation’s Proof of Stake Alliance to discuss evolving rules for crypto exchange-traded products (ETPs). BlackRock focused on in-kind redemption models, while the Proof of Stake Alliance emphasized the inclusion of staking in ETPs, presenting various models and industry principles. The discussions reflect growing institutional efforts to shape regulatory clarity around crypto ETFs, particularly on staking, which some argue is essential for maximizing returns and maintaining the utility of proof-of-stake blockchains like Ethereum and Solana. No final decisions were announced.
US lawmakers have advanced the CBDC Anti-Surveillance State Act, a bill aimed at blocking federal banks from issuing or using a central bank digital currency (CBDC). Passed by the House Financial Services Committee in a 27-22 vote, the bill reflects Republican concerns over financial privacy and surveillance, and aligns with a Trump executive order banning CBDCs. A stablecoin regulation bill was also approved during the session. While it’s unclear if the CBDC bill will pass both chambers, a companion bill introduced by Senator Ted Cruz suggests a coordinated GOP push against CBDC development.